Board votes to seek nonprofit status for OSBA

The OSBA Board of Directors approved Friday a resolution to reorganize OSBA as a nonprofit.

OSBA was created in 1946 as a volunteer member services organization, but its status under Oregon law was undefined.

“For over 60 years, OSBA has been an entity in this state, but we’ve never formally been anything,” OSBA Executive Director Jim Green told members at the Fall Regional Meeting on Thursday in Seaside. “Times have changed since 1946.”

An organizational review determined that OSBA should incorporate under ORS Chapter 65 as a nonprofit corporation to preserve its tax-exempt status. As a nonprofit, OSBA can continue its lobbying and advocacy work and other services while protecting board members from liability for the association’s actions.

The board worked for more than a year on refining the necessary bylaws. Most members will not see any changes in OSBA’s services. Charter schools, however, will no longer be able to join as associate members because of tax rules. They can still contract services through their sponsoring districts, and charter schools can still qualify for insurance through PACE.

The change will not affect members’ dues.

“The change to a nonprofit corporation, which was recommended by our lawyers, will provide clarity about OSBA’s legal status and protect our tax-exempt status that lets us continue our mission of supporting kids and public education,” said Mary Paulson, OSBA deputy executive director.

OSBA members will be able to vote on the resolution from Nov. 13 to Dec. 15 as part of the annual elections process. If approved, the change would take effect July 1, 2018.